With an export value worth over Rs 2,890 crore, united Andhra Pradesh accounted for second highest share of about eight per cent after Rajasthan in total net exports value worth over Rs 38,300 crore in terms of states’ actual exports through agriculture export zones (AEZs), noted a recent study by apex industry body ASSOCHAM.
Besides, with a value of about Rs 207 crore, erstwhile Andhra Pradesh garnered third highest share of about 14 per cent in terms of actual investments through AEZs after Rajasthan (31 per cent) and Maharashtra (25 per cent), highlighted the study conducted by The Associated Chambers of Commerce and Industry of India (ASSOCHAM).
The state also achieved a ratio of about 14 in terms of actual exports to actual investments through AEZs i.e. for every Rs 1 crore invested in an AEZ in then united Andhra Pradesh it exported fresh vegetables, grapes, mangoes, mango pulp, chilli and gherkins worth Rs 14 crore, noted the study prepared by the Agri-business division of ASSOCHAM.
Ananthapur, Chittoor, Guntur, Karimnagar, Krishna, Mahboobnagar, Medak, Nalgonda, Rangareddy and Warangal were the districts of erstwhile Andhra Pradesh housing five AEZs that received total investments worth about Rs 207 crore with total exports worth over Rs 2,890.5 crore.
India’s overall agricultural exports are expected to cross $300 billion mark by 2023 as factors like policy stabilization, institutional support, awareness about safety norms, implementation of strict regulations and infrastructure development will catapult the country into a major player in global agricultural market, the study projected.
However the study pointed out that agricultural trade in India is currently challenged by a host of factors – inefficient economics of scale, high level of intermediation, wastages, inadequate and inappropriate storage, procurement and distribution infrastructure, poor food safety norms adherence as well as lack of consistency in supply and quality, cost competitiveness due to statutory changes and research for processable grades and trade barriers.
“There is a need to have long term sustainable policy which attracts more investments in agriculture sector and increases private partnerships in rural and remote areas of the country,” said Mr D.S. Rawat, national secretary general of ASSOCHAM while releasing the findings of the chamber’s study.